Leading Australian AI specialist Veriluma (ASX: VRI) has entered into a conditional heads-of-agreement to acquire Prometheus Information, a Canberra-based, business intelligence, data warehousing and analytical solution specialist.
Veriluma is acquiring Prometheus for $600,000 in cash and scrip plus a performance cash payment of up to circa $75,000. The proposed acquisition is anticipated to completed by 31 October 2019.
Prometheus provides professional services and software to the health insurance sector. Its clients include 17 of the 37 registered health insurance funds in Australia plus the health insurance technology provider HAMBS (Hospital and Medical Benefits System).
Veriluma CEO Elizabeth Whitelock saidhealthcare is undergoing a transformation and IT is at the forefront of key strategic initiatives.
“Deloitte research shows insurer spending on cognitive/artificial intelligence is expected to reach $1.4 billion globally by 2021. Combining Veriluma’s AI with the Prometheus analytical platform, will create compelling benefits and insights not only for health insurers but also for clients and prospects facing similar challenges in other industries,” Ms Whitelock said.
She added that the Veriluma Board believes the acquisition provides Veriluma with diversification and scale for potential growth, with strong strategic and financial rationale.
We see the Prometheus acquisition as a complementary partner to the Veriluma offering. Our combined team will work together on the same problems to help deliver better solutions to our clients and partners,” said Ms Whitelock.
“The insurance industry is transforming at pace. Competitive advantage is no longer determined by the products an insurer offers.
“it must come by providing customers a personalised and outstanding experience at a fair price particularly after a claim has been made.
“The customer experience should be consistent, unbiased and anticipate the client needs. To ensure top line growth and bottom line profitability, insurers will turn to technology to do more with less, drive their differentiation and deliver increased customer satisfaction.”